Cameroon - Economic development



The government has initiated several efforts to further reduce its role in the economy and to promote private sector development during the 1990s and early 2000s, including reforms in taxation, tariffs, labor, and trade. Price controls were lifted in 1994 with the exception of pharmaceuticals, petroleum products, and goods and services produced by public monopolies. The government marketing board for coffee and cocoa was restructured and most restrictions on marketing and exporting were eliminated. During 1996, the government took bids from private companies for the privatization of the state-owned rubber company, shipping company, and railroad.

A prominent feature in Cameroon's economic development strategy was the development of an Industrial Free Zone (IFZ), which covers the entire country. Manufacturing and service industries authorized to operate under the program pay no duties on imported inputs, require no licenses, and are exempt from customs control. An IFZ firm must produce goods or services that are 80% export-bound and which are not environmentally destructive.

Multilateral aid from international financial institutions and UN organizations totaled $606 million in 1996. France agreed to loan $55 million in 1999 while the Paris Club agreed to reduce debt by 50% and reschedule payments through 2000. Total external debt in 2000 was $10.9 billion. Cameroon had a three-year $133.7 million Poverty Reduction and Growth Facility (PRGF) Arrangement with the International Monetary Fund (IMF) approved in December 2000 that was due to expire in December 2003. The country reached its decision point under the IMF/World Bank's Heavily Indebted Poor Countries (HIPC) initiative in October 2000, qualifying for some $2 billion in debt relief. The ongoing construction of the Chad-Cameroon oil pipeline in 2003 resulted in growth in the service sector. Economic development remained fragile, however, in part due to a decline in oil output. The government needs to focus on revenue collection, and target spending to key poverty-reduction policies such as health, education, and basic infrastructure.

Also read article about Cameroon from Wikipedia

User Contributions:

1
mbuwe hermann
I think this is all goob to read but what worry's me is i and by i mine those that my leve and i my situation which i belive are about 2/3 of the population, do not get to see or fill this changes that hsa taking place
providind good health conditions,good education is a good idea.
The gov't can give jobs to this numeros studes that leave the univresity.Or but still give us the opprtunity to get selfemployed.the tax put sime to be the problem.
2
shey herman kabah
I appreciate all that is being done by the cameroon goverment.but the effort is not enough because there many cameroonian youths who live and there are no job.thus the goverment should embark on it regional policies by creating local industries that will be run by local governments
This will go a long way to better living conditions of villagers reducing the gap between the urban and rural centers.
3
shey herman kabah
I appreciate all that is being done by the cameroon goverment.but the effort is not enough because there many cameroonian youths who live and there are no job.thus the goverment should embark on it regional policies by creating local industries that will be run by local governments
This will go a long way to better living conditions of villagers reducing the gap between the urban and rural centers.
4
N. Carolyn Mbaikuh
The information is very vital i must say. But my worry is; is the Cameroon economy really poor? Can't people bring up ideas that can ameliorate the present day situation and embezzlement rate reduced? As economist polices should be made for people to follow. thanks
5
Likie Charles E.
I presume it is a great move taken by the Cameroonian government to track down all the embezzlers of public funds,but what will be greatly appreciated by the Cameroonian people is for the funds to be retrieved and used for projects that will enhance growth in the economy or better still the funds should be geared towards the agricultural sector.If funds are provided for the Cameroonian youths who would like to engage in mechanized agriculture,then this will go a long way to increase economic growth and development and why not the realization of the 2035 vision.
6
Mervillve N.
I do really appreciate the effort of the Cameroonian government towards his greater realization project. But what bother me most about this country is because when when projects are documented they are already considered to be realized. Example is the reduction of debt by 50% in 1999, yet this did not affect or change the life of a common man. We need our country to change by changing our government and forget about a better realization but someone which we don't know when.
7
clovis
cameroon is one of must peaceful countries in the world but and one of the riches in terms of resources but cameroon is very poor to change this country cameroon gorvenment to see in to the taxation policy
8
Parker Arrey
Cameroon destiny I will say is in the hands of the private sector,the billionaires in cameroon should see the big picture and begin investing in the areas that have needs,we have so many industries to be erected I don't think the government alone can do this.The government duty is to help us alleviate the tax system and encourage our business zone

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